MULDOON V. LYNCH 66 Cal. 536 (1885) CASE BRIEF

MULDOON V. LYNCH

66 Cal. 536 (1885)

NATURE OF THE CASE: Lynch (D) purchaser of cemetery monument challenged a judgment, which refused to grant a new trial in D's contract dispute with Muldoon (P), vendor of cemetery monument. The issue on appeal was whether an amount of money named in a contract as a forfeiture was to be regarded as liquidated damages or as a penalty.

FACTS: P was to furnish and complete certain improvements on the cemetery lot of D. The amount to be paid was $18,788 in four installments of $1,725 each, to be paid as the work progressed to the point of being ready for the reception of the monument, and the balance $11,887, on the completion of the whole. A clause stated: 'All the work, with the exception of monument, to be completed within four months from date of contract, and the balance in twelve months from the date of this contract, under forfeiture of ten dollars per day for each and every day beyond the stated time for completion.' The monument was delayed nearly two years in reaching the point of destination in waiting for a vessel from Italy. When the marble reached San Francisco it was set up, and everything was according to the contract, without question being made, except as to the matter of time; that was the only point of controversy. Ps claim that D is indebted to them in the sum of $11,887, with interest from the day of the completion and that the sum of ten dollars per day was a forfeiture.

ISSUE:

RULE OF LAW:

HOLDING AND DECISION:

LEGAL ANALYSIS:

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